Blockchain is constantly revolutionizing various industries, and supply chain is one of the major ones. Many companies are already using blockchain in supply chain to reap the benefits of blockchain technology. But why is it necessary to use blockchain for supply chain management?
At the moment, the supply chain industries deal with a lot of issues. Among them, rapid changes in the market, issues with compliance and quality, lack of transparency, increasing corruption, high costs, etc., are prominent problems. This is where blockchain steps in.
Using blockchain in supply chain management comes with its fair share of benefits - peer-to-peer transaction settlement, audit transparency, tracking products, and consumer feedbacks, accurate costing info, better shipping data, etc. In fact, there are already many blockchain supply chain projects live at the moment working perfectly.
We at 101 Blockchains are driven to help you educate on blockchain technology with high-quality courses and certifications. Therefore, we offer specific courses geared to supply chain management as well. At present, we have two prominent courses that can help you understand the concepts better - Enterprise Blockchains and Supply Chain Management Course and Enterprise Blockchains and Trade Finance Course.
Learn more about these courses from here ->
https://academy.101blockchains.com/courses/blockchain-and-scm
https://academy.101blockchains.com/courses/enterprise-blockchains-and-trade-finance
Other than these, we have certification courses to help you become a skilled professional in no time. Learn more about these courses from here ->
Certified Enterprise Blockchain Professional (CEBP) course https://academy.101blockchains.com/courses/blockchain-expert-certification
Certified Enterprise Blockchain Architect (CEBA) course
https://academy.101blockchains.com/courses/certified-enterprise-blockchain-architect
Certified Blockchain Security Architect (CBSE) course
https://academy.101blockchains.com/courses/certified-blockchain-security-expert
3. What Are the Issues of Supply
Chain Industries?
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Rapid Changes in the Market
High Costs
Globalization
Regulations and Quality
Lack of Transparency
Relatively Slow
Corruption
Poor Customer Service
4. Offshore or outsourced manufacturing efforts complicate
the supply chain processes due to the lack of proper
visibility, coordination, and maintenance.
Expanding to global marketplaces is often tricky due to
the differences in cultural preferences around the world.
Companies need to incorporate newer tactics to attract
customers in every country, which creates the risk of
losing control and visibility.
Enterprise companies need huge manpower to maintain
every single outsourced manufacturing, sourcing, and
logistics effort.
Globalization
5. Consumer behaviors are hard to predict, and it varies
based on cultural, personal, social and psychological
aspects.
The popularity of social media demands that
enterprise companies keep up with the trends and
produce new and interesting products constantly,
which is increasing a lot of pressure.
Companies have to forecast and develop new
products while keeping the manufacturing costs low,
which can reduce their revenues if the product does
not perform as expected.
Rapid Changes in the Market
6. Meeting up with consumer expectations is always not
feasible as consumers expect higher quality at a lower
pricing point.
Quality testing in every stage of the supply chain, such as
producing, procurement, transportation, product
handling, takes time and resources and becomes difficult
to monitor with human resources.
Aside from consumer expectations, local and
international regulations demand specific standards for
producing the products that can overwhelm the
companies.
Regulations and Quality
7. Consumers now want full transparency surrounding
the products they are buying, however, most of the
companies are unable to offer that.
Companies offering a vague insight into the production
process of a product creates consumer dissatisfaction
and creates trust issues.
The legacy systems or models the supply chain uses
now aren’t adequate to offer full transparency
throughout the different stages.
Lack of Transparency
8. Trust is a big issue in the supply chain, as most
procedures are dependent on human interactions and
expect the best behaviors from the employees.
Forged product quality checks to meet up with the
standards can harm a company's reputation in the long
run.
Bad internal parties can sabotage a company’s
reputation by swapping out counterfeit products with
original ones.
Increasing Corruption
9. Constant quality checks and controls increase the
need for quality control checkers and experts, which
increases costs.
Inventory management requires proper environment,
storage space, and security. This increases the overall
costing.
Transportation and procurement procedures require
more investment as the costing can vary due to
various factors.
High Costs
10. The current supply chain management system is
quite backdated and prone to issues.
Due to the lack of proper management, the supply
chain is excessively slow.
Other factors such as inadequate logistics
management, heavy authentication processes, and
business in different time zones make the supply
chain quite regressive.
Relatively Slow
11. Lack of proper customer support channels
discourages consumers from buying products
from specific brands.
Not having a social media channel for support
can hurt a brand's reputation in the long run.
Many companies aren’t keen on investing their
resources in customer supports or consumer
benefits, which reduces their consumer reach.
Poor Customer Service
12. How Is Blockchain Used in Supply
Chain Managment?
Peer-To-Peer Transaction
Settlement
Tracking Products and
Consumer Feedbacks
Accurate Costing Info
Better Shipping Data
Product Provenance
Audit Transparency
Avoiding Compliance
Violation
Reducing Counterfeit
Products
Enforcing Trade Policies
and Tariffs
Inventory Management
13. Offers a faster transaction process and can
settle the payment within minutes.
Cut’s middleman in cross-border payments,
thus reducing costs greatly.
Automates payments using smart contracts
and enforces more security.
Peer-To-Peer Transaction Settlement
14. Automates the auditing process and gets rid of
human-based errors.
Helps auditors make safer and more strategic
choices throughout the whole supply chain.
Helps to maintain standards and product quality.
Audit Transparency
15. Tracks the whole process of the supply chain,
starting from sourcing to product delivery.
Can track consumer feedbacks accordingly and
forecast probable trend changes.
Makes it easier to work with replacement or returns
of products from customer to the factory.
Tracking Products and Consumer
Feedbacks
16. Offers proper data management, which shares a full
view of the costing needed in every part of the supply
chain.
Reduces the errors in goods receipts, orders, invoices
that saves a lot of money.
Offers cost-cutting schemes and better production
strategies using automation.
Accurate Costing Info
17. Offers real-time shipping data that helps to forecast
delivery schedules.
Tracks the products throughout the whole shipping
process to maintain proper product quality.
Offers more shipping route information and
strategies to increases efficiency.
Better Shipping Data
18. Helps to reduced high compliance maintenance
costs.
Keeps up with regional compliance changes to
avoid any violations.
Offers proper authorization from the law in order to
abide by the rules and preserve brand status.
Avoiding Compliance Violation
19. Offers additional information to prove the
authenticity of the products.
With the help of IoT integration, blockchain can
track every single material from the source to
preserve quality.
Every single data gets verified before getting added
to the ledger, which acts as a product certification.
Product Provenance
20. Tracks all the products using NFC codes, RFID
chips, and QR codes in real-time.
Provides an end-to-end connection from the
manufacturing unit to the buyer in order to get rid
of counterfeit products.
Offers more security regarding the preserving and
storing of products.
Reducing Counterfeit Products
21. Helps to maintain all trade policies according to the
regional laws.
Stops third parties to funnel stolen goods and
trading them to avoid higher costing.
Automates the enforcement of tariffs every time a
product gets internationally shipped.
Enforcing Trade Policies and Tariffs
22. Offers transparency that helps manufacturers to manage
product traceability, origins, perishable state, and recalls.
Allows seeing customer demands in real-time to forecast
them successfully and stock the inventory based on that.
Introduces identity verification for all employees to track
them in order to avoid funneling goods from inventory.
Inventory Management
23. Prominent names in the industry, such as — Walmart,
Nestle, Unilever, Carrefour, Anheuser-Busch InBev, Ford,
etc. are already investing heavily in blockchain-based
solutions.
Many governments are enthusiast about deploying
blockchain in their countries export and import supply
chain processes.
IBM's Food Trust is restabishing the food supply chain
with more safety and many enterpise companies are
already utilizing it.
Blockchain Based Supply Chain Projects
Real-World Impact
24. Blockchain Courses Suitable for the
Supply Chain Industry
Enterprise Blockchains and Trade
Finance Course
Enterprise Blockchains and Supply
Chain Management Course
https://academy.101blockchains.com/cour
ses/blockchain-and-scm
https://academy.101blockchains.com/courses/e
nterprise-blockchains-and-trade-finance
26. Why You Must Go With 101 Blockchains
Certification Courses?
High-Quality Research Information
First-class Training Content
Interactive Exercises
Flexible Learning Using Modular
Approach
Access to Bonus Training Materials
Various Training Strategies for Faster
Learning
Tangible Proof of Course Completion
Weekly Hands-on Assignments
Professional Instructors
Premium Support